The Reserve
Bank of New Zealand Governor Graeme Wheeler said today:
- The
financial system in New Zealand remains sound, but there are still risks from
the high levels of debt in the household and dairy sectors;
- House
prices are overvalued;
- A
potential decrease in China's property prices and shadow financing system is a
risk for New Zealand;
- Strong
deposit growth has helped to reduce the reliance of the banking system on
offshore funding.